How will rupee falling past 90-mark against US dollar affect Indian economy?
Indian rupee crossed the 90-mark against US dollar. A weaker rupee will make imports more expensive, particularly for crude oil, as India imports 90% oil. As India depends on overseas suppliers for electronics, fertilisers and edible oil, a weak rupee will inflate these bills. It may also decline foreign direct investment inflow. While exporters may benefit from a weaker currency.